Trusts

A Settlor is the person who establishes a Trust.

A Trust is a formal obligation on nominated persons (Trustees) to perform specified functions for the ultimate benefit of nominated beneficiaries, such as family members including the settlor.

Trusts have their own ownership and tax status The Trustees decide how and when the trust assets pass to the beneficiary.

BENEFITS OF TRUSTS

Any one or more the following could apply:

Protection against future means tests, reintroduction of death duty, capital transfer tax, capital gains tax, wealth tax or superannuation surcharge

Creditor Protection

Rest Home Subsidy Protection

Tax Savings on Beneficiaries' Income

Relationship Property Claims or Creditor Claims in respect of Children or Grandchildren

Ease of Administration of Deceased's Estate

Ensuring Estate passes to own Children and not to subsequent Children of Second Spouse or Partner or their children

Avoiding Challenges to Wills

Passing on the Family Farm or Family Business